Amortization Calculator
Build monthly or biweekly amortization schedules, calculate payments, and compare how different repayment plans affect interest and payoff timing.
Amortization Schedule & Payment Calculator
See payment breakdowns, build schedules, and compare monthly vs biweekly plans.
Compare the impact of monthly vs biweekly amortization.
Read an amortization schedule beyond the first payment
An amortization schedule breaks each installment into interest charged for the period and principal repaid. In a conventional fixed-rate monthly loan, interest is calculated on the remaining balance, so the interest portion usually decreases as the principal falls. The total installment may stay the same while the share applied to principal grows.
For example, a $10,000 fixed-rate loan at a 6% nominal annual rate for 24 equal monthly installments has a payment of approximately $443.21, before fees and differences in lender rounding. The first month’s interest is about $50, leaving approximately $393.21 of that payment to reduce principal. Subsequent interest is then calculated on the new balance rather than on the original $10,000.
Actual lender schedules can diverge if payment dates vary, interest is accrued daily, a fee is financed, the rate changes, or the loan permits interest-only periods and balloon payments. Compare both total interest and the payoff date, and check the agreement before assuming that an extra payment will automatically reduce the term.